The Advertising Standards Authority (ASA) has banned an advertisement on the Sports Direct website, ruling that the retailer's use of recommended retail prices (RRP) was misleading.

The advert promoted a £17 Puma baselayer top, claiming shoppers could get "up to 50pc off" from a £45 RRP. While Sports Direct stated that Puma confirmed the £45 RRP had been in place since at least 2023, the ASA ruled that this did not prove the price was what the product was generally sold for across the market.

The regulator noted that the same top was available for £17 from another Frasers Group retailer and for £23 from a different sports retailer. The ASA concluded the evidence did not support the £45 figure as a genuine market price for consumers to judge savings. The watchdog ordered Sports Direct to withdraw the advert and stated that future savings claims must be based on genuine market prices.

Sports Direct criticized the decision and vowed to contest it, calling the ASA's approach "out of touch" and "fundamentally flawed." The company argued the regulator's requirement would force retailers to gather market-wide pricing data to justify every RRP used.

"The ASA's 'out of touch' approach to the use of RRPs is fundamentally flawed. We do not accept that it is the valid legal test for whether an RRP is misleading or not, or that it reflects consumers' understanding of RRPs, which have been around for many decades."

The dispute follows recent guidance from the ASA warning retailers not to rely solely on manufacturer prices for savings claims. It also follows comments from Frasers Group owner Mike Ashley, who criticized plans to crack down on discounts, arguing that RRPs are a well-established pricing basis.